• Rob Campbell, Chairman of King Tide, was interviewed by the NZ Herald
  • King Tide Chairman, Rob Campbell, talks to the NZ Herald about the important link between strong values and business success.    Click here to read the article. 
  • The Australian Financial Review interviewed Mark Houghton this week – to read the article click here
  • L1 Capital  –  We thought you might be interested in this article on one of King Tide’s underlying managers, L1 Capital.  King Tide added L1 Capital in November last year.
  • Warren Buffet on Investing
    While the attached article will be music to the ears of the many promoters of low cost ETF’s and index funds, it is worth noting, that when selecting his own fund managers, Buffet selected two managers of “hedge funds”, Todd Combs and Ted Weschler to manage Berkeshire Capital.  They manage around $7bn each out of Berkshires $100bn+ equity portfolio.While bringing them in-house may help with the fees argument, it does show that while the broad universe of “hedge funds” may have performed very poorly, there are many exceptions and it is still the place you will most likely find the most talented and skilful investors.
  • Jonathan Shapiro writes in the AFR that “Australia’s hedge funds are delivering spectacular returns”. The article mentions a number of King Tide’s underlying managers, whilst mentioning the high level of overseas interest in Australian hedge funds. Interestingly the article mentions that rival fund-of-funds NWQ was in the top 10 multi-strategy funds in the world in 2015 with a return of 17%, while King Tide returned 28% during the same period.
  • Christopher Joye mentions a small number of hedge funds in Australia who have beaten the market, but goes on to say, ‘disappointingly, the wider industry has not fared as well’.  While we agree that global hedge funds have performed poorly, our research shows that most Australian based long/short equity funds have consistently and comprehensively outperformed the Australian equity market.  The examples Chris uses, LHC, Perpetual, and Pengana are all good examples, but there are in fact a universe of more than 50 long short equity funds to choose from. King Tide, which invests in what it considers to be the best of these funds, has returned 37.9% in the last three years versus the Australian market’s 12.5% (measured in NZDs).  Click here to read Christopher Joyes article Hedge fund winners and losers in the June edition of Australian Financial Review.
  • Here is an article from today’s Australian Financial Review on Auscap, a Sydney based fund which is one of King Tide’s largest underlying positions.  We first invested in Auscap in October 2013, and since that  time they have risen +67% versus the All Ordinaries +9% – click here to read about Auscap
  • King Tides’ Director, Mark Houghton, was quoted in this weeks’ Good Returns Financial Adviser website, click here to read about Marks comments on Performance fees
  • NZ Super Fund – How much money can be invested in an actively managed strategy without harming that strategy’s returns?
  • “If you buy something for $10 and sell it a year later for $20, was it risky or not?  The novice would say the profit proves it was safe, while the academic would say it was clearly risky, since the only way to make 100% in a year is by taking a lot of risk.  I’d say it might have been a brilliant safe investment that was sure to double or a risky dart throw that got lucky” – Risk Revisited
  • This article supports one of King Tide’s fundamental beliefs , that “bigger is NOT better” in the funds management business: Why the size of your fund matters
  • The Auscap Newsletter under pages 3 to 5, provides an excellent summary of reasoning behind long/short investing: Auscap Newsletter -March 2014
  • An interesting article on the outlook for the Australian Economy –  25 reasons to be confident about growth in Australia over the next 20 years